Blue Apron, the service that provides do-it-yourself home meal kits, didn't have the right ingredients when it came to delighting investors in its first earnings report since going public.
The meal-kit company reported a loss of 47 cents per share, 13 cents more than what Wall Street had expected. Second-quarter revenues were $238 million; analysts had predicted $236 million.
Blue Apron saw its number of orders and of customers drop in the second quarter from the first. The company had 4.03 million orders, down from 4.27 million, and 943,000 customers, down from 1.03 million.
The company has been viewed as the star in the meal-kit world. It provides curated packages of pre-measured ingredients and recipes cards designed to let people cook gourmet-style fresh food at home. It's a a $2.2 billion-and-growing business, according to the Chicago-based food industry consultancy Pentallect.
Blue Apron's reported revenues increased 18% year-over-year
“We are beginning a new chapter as a public company, and remain focused on our long-term strategy to build an iconic consumer brand, develop a more diverse product portfolio and further build out an end-to-end supply chain platform," CEO Matt Salzberg said in a statement.
Blue Apron lowered its IPO share prices from $15-17 to $10-11 before the company went public on June 29.
Blue Apron saw net losses every year since it launched -- $30.8 million in 2014, $47 million in 2015, $54.9 million in 2016 and $52.2 million in the first quarter of 2017.
"If we are unable to cost-effectively acquire new customers, retain our existing customers or keep existing customers engaged, our business, financial condition and operating results would be materially adversely affected," the company added.
Between 2012 through March 31, Blue Apron has delivered more than 159 million meals across the country.